Section 7264.8 - Final Eligibility Determination and Loan Guarantee Process(a) The applicant shall be responsible for providing the lender with the information necessary for the lender to determine the applicant's eligibility for a loan.(b) Upon notification from the lender of its decision regarding the applicant's loan application, the Program Administer shall take either of the following actions as appropriate: (1) When the conditions specified in Section 7264(a)(2) and (3) exist, the Program Administrator shall both: (A) In consultation with the lender, determine an affordable monthly payment and interest rate.(B) Execute a loan guarantee agreement with the lender. At a minimum, the agreement shall include the amount of the loan, the agreed upon interest rate and acknowledgement that the lender will comply with the provisions specified in (d) and Section 7266.(2) Notify the applicant in writing that his/her loan guarantee request has been denied.(c) Individuals for whom the Department has guaranteed a loan shall make their monthly payments directly to the lender.(d) Lenders with whom the Department has executed a loan agreement shall notify the Program Administrator at least quarterly of the amount of the unpaid balance on the guaranteed loan. In addition, the lender shall notify the Program Administrator at any time when the individual does not make his/her monthly payment.Cal. Code Regs. Tit. 9, § 7264.8
1. New section filed 4-5-94; operative 5-5-94 (Register 94, No. 14). Note: Authority cited: Sections 19006, 19016 and 19470, Welfare and Institutions Code. Reference: Sections 19460 through 19470 and 19853, Welfare and Institutions Code.
1. New section filed 4-5-94; operative 5-5-94 (Register 94, No. 14).